The Business of Travel

The Official Blog of the Global Business Travel Association

Last month, the European Commission invited GBTA to share our views on the risks and opportunities involved with digitalizing EU visas. This is part of the EU’s effort to modernize its visa policy and overcome challenges for both public authorities and travelers.

GBTA welcomed this opportunity to provide input into the European Commission’s work and strongly supports the initiative. The EU should leverage new digital technologies to facilitate travel to the Schengen area – while upholding the highest safety standards.

Digitalizing the EU visa process can reduce what is currently a long visa application processing time by enabling business travelers to file their applications online and avoid having to make a personal appearance at consular services. A digital process would allow applicants to upload the required documents electronically, including their passport and picture. The e-visa would then be issued in an electronic form and sent by email to applicants creating a much more streamlined approach.

Many countries including Australia, Canada, New Zealand and India have already successfully digitalized their visa application processes. GBTA suggests that the European Commission set-up an exchange of “best practices” with those countries to facilitate the implementation of EU-wide e-visas.

To ensure a smooth transition, GBTA highlighted that the EU should address the digital divide in Europe and ensure that a harmonized digital procedure is implemented across all EU Member States. It will be critical to protect data integrity and privacy and ensure that public authorities safeguard their systems against data breaches and cyberattacks.

GBTA remains convinced that the benefits of digitalizing visas outweigh the potential concerns – and calls on the European Commission to support Member States when rolling-out new digital capabilities.

GBTA is committed to working hand-in-hand with the European Commission to ensure that the digitalization of visas and visa processing becomes a reality, and making sure that the EU’s visa policy takes into account business travelers’ interests.

This week’s episode of The Business of Travel comes to you from GBTA Conference 2018 Berlin in Partnership with VDR. GBTA Executive Director and COO Michael W. McCormick interviews Konstantin Sixt of Sixt. The discussion focuses on the future of mobility, challenges facing ground transportation and the future of Sixt as a company.

You can download and listen to The Business of Travel in iTunes, Stitcher, Google Play and your other favorite podcast directories. Be sure to subscribe to the show so you don't miss out!

Will the Democrats take the House? Will the Republicans retain control of the Senate? Pollsters have been trying to predict the outcome for months now. As we head into the midterm elections today, if there is anything we learned from following the polls in the 2016 Presidential election, it is that no one really knows what will happen until the results are in.

At GBTA, we are not in the business of predicting elections, but we do want to let you know what impact the election can have on business travel – regardless of who wins or loses today.

Here are three key travel-related committees to keep an eye on:

House Transportation & Infrastructure Committee - Rep. Bill Shuster (R-PA) is currently serving his third term as Chairman of the U.S. House Committee on Transportation and Infrastructure. As one of the largest committees in Congress, it has broad jurisdiction over all modes of transportation and other aspects of our national infrastructure as well. Shuster is retiring from Congress, meaning the chair of this Committee will change regardless of the election outcome.

If the House flips, the current Democratic ranking member who would become the chair is Rep. Peter DeFazio (D-OR). Rep. DeFazio was a sponsor of the FASTER Act, which GBTA strongly supported. He does however, support raising the cap on the Passenger Facility Charge (PFC). GBTA will continue to engage on these important issues as an increase in the PFC could have a significant impact on the bottom line for companies sending business travelers on the road for roughly 40 million business trips a month – most of which involve air travel.

If the Republicans remain in control of the House, there are two contenders in play to take on the chair role: Rep. Jeff Denham (R-CA) and Rep. Sam Graves (R-MO). Past Legislative Summit attendees may remember Rep. Denham as a speaker in 2015. He has done some positive work for business travelers with his efforts around passenger rail legislation. He is facing a tough reelection campaign that he will need to win first if he wants a chance to chair the Committee though. Rep. Graves is also a past Legislative Summit speaker and a longtime champion of business travel making him a two-time GBTA Navigator Award winner. Politico reports that Graves appears to be first-in-line in this contest, but that both Congressmen have expressed a desire to push a major infrastructure package as an early priority in the next Congress.

House Homeland Security Committee – With current Chairman Michael McCaul (R-TX) reaching his term limit, the leadership for the House Homeland Security Committee will also change regardless of whether the House flips or not. It is not completely clear who will take over should the Republicans maintain control, but Mike Rogers (R-AL) is seen as the most likely.

If the Democrats win the House, ranking member Bennie Thompson (D-MS) would be the next chairman. Thompson has been the top Democrat on the Committee since 2005.

Given the many security items incorporated into the recently passed FAA Reauthorization bill, the Committee will likely focus more attention on TSA oversight issues going forward including workforce and union concerns, whistleblower protections and employee misconduct. Thompson has also shown interest in the growing use of biometric technology and facial recognition by Customs Border Protection and TSA, along with what privacy concerns this technology poses.

Additionally, Politico reported that a Thompson aide has said Democrats want to examine immigration policies that have come out of the Trump Administration including the travel ban, border wall and disaster response.

Senate Commerce Committee – Sen. John Thune (R-SD), current chair of the Senate Commerce Committee, is expected to move to the role of Senate Majority Whip should the Republicans retain control of the Senate.

Sen. Roger Wicker (R-MS) is expected to take on the chair role in this case. His priorities on transportation are not yet known. When it comes to aviation, he has spoken out against regulatory policies that make it harder for the airlines to do business out of concern that this typically means if airlines need to cut service, it will be to less-profitable, rural routes like his state. However, he has also been opposed to the airlines’ views on several issues including pulling air traffic control operations from the FAA and supporting language in the FAA Bill that would bar unreasonable change and cancellation fees (this ultimately was not included in the final bill). In other modes of transportation, he has long been a proponent for maintaining Amtrak’s long-distance routes and will likely be a key voice for Amtrak on this front if he becomes chair.

If the Democrats take control of the Senate, the front-runner to chair the Committee is Sen. Bill Nelson (D-FL). Sens. Maria Cantwell (D-WA) and Amy Klobuchar (D-MN) are also in the mix. Sen. Kobluchar is another long-time champion of business travel and an inaugural winner of GBTA’s first Navigator Award in 2016.

GBTA will be following the election results closely as they come in Tuesday night and will monitor the changes in committee leadership as that unfolds. Travel has always been a bipartisan issue and we will continue to work closely with leaders on both sides of the aisle to ensure the voice of the business travel industry is heard.

I encourage you to help make our collective voice stronger by attending our Legislative Summit next spring and letting your members of Congress know how important business travel is to our economy.

Earlier this month, I sent the note below as an email to GBTA members outlining why the FAA Reauthorization is such a big win for business travel. Read on below for more and tune in to this week’s GBTA podcast where I had the opportunity to talk with Shane Downey, GBTA Vice President of Government Relations, along with Todd Webster of Cornerstone Government Affairs for an in-depth discussion on the recently passed FAA Reauthorization Bill and what it means for business travel.

In a rare act of bipartisanship in today’s political landscape, Democrats and Republicans worked together to pass a bill that reauthorizes the budget for the Federal Aviation Administration (FAA) for five years. Before the President signed the FAA Bill into law, the Senate passed the bill by a vote of 93-6 and it passed the House by a similarly large margin with a vote of 398-23.

Why is this such a big win for business travel?
As the voice of the business travel industry on Capitol Hill, GBTA staff tirelessly advocates for policies that better the business travel industry. Our Government Relations Committee provides insight to help us identify the issues that matter most, our Chapters engage in advocacy through our annual Government Relations Challenge, and most importantly, many of our members attend our Legislative Summit each year to take our collective voice to the Hill and meet with their Senators and Representatives.

In this one bill, virtually all of the priority issues we have included in our Legislative Agenda for the past five years have now become a reality.

Long-Term Reauthorization: GBTA has been calling for a long-term FAA Reauthorization to provide stability to the nation’s air traffic control system, ensuring the ongoing safe, secure and efficient facilitation of air travel. This bill marks the first five-year extension since 1982. This follows years of instability created by three authorization extensions from 2015-2017, a federal government shutdown in 2013, a lapse in the FAA authorization in 2011 and 23 short-term extensions from 2007 to 2012.

An End to the Diversion of Security Fees: Over the past year, GBTA has been one of the lone organizations supporting the FASTER Act, which would end the practice of diverting a portion of the 9-11 security fee charged on each air ticket toward the national deficit. GBTA argued that this money should go towards security and improving TSA’s efforts as it was intended. This bill ends the current practice of diverting 60 cents on every fee charged by 2027.

PreCheck is PreCheck: PreCheck is a win for all passengers, leading to increased traveler satisfaction and overall safety. This new bill mandates that only those prescreened passengers enrolled in trusted traveler programs can use the PreCheck lanes. It also enacts measures to increase marketing and enrollment capabilities through authorized third parties, which will ultimately continue to strengthen the benefits of PreCheck.

No Voice Calls on Planes: GBTA has long-advocated for #NoCallsOnPlanes as the vast majority of business travelers oppose voice calls on planes. This bill calls for a regulation prohibiting calls on planes. As we always say, sometimes silence really is golden.

Passenger Facility Charges (PFCs): The bill did not include an increase in the PFC, which is a tax on air travelers and essentially a tax on the cost of doing business. The bill also calls for the formation of an expert panel to investigate the need for infrastructure, resources and the impact of increasing the fee – specifically calling out for representation from the business travel industry to act as a stakeholder on the panel. This is the direct result of our efforts to demonstrate the diverse needs of the leisure and business travel industries and showcase the important economic impact of our industry.

Rental Car Taxation: This bill prohibits discriminatory taxes on rental cars at airport locations, meaning that state and local governments can no longer put a tax on a rental car that they wouldn’t put on any other purchase. For example, specific car rental taxes used to pay for new stadiums targeted at travelers renting cars who are not from their voting district would be prohibited.

Business Traveler Protections: Finally, the bill included some consumer protections that will look out for our business travelers including mandates to set new minimum requirements for seats on airplanes; a call to refund passengers for services they paid for but did not receive; and for regulators to determine if it is unfair or deceptive for airlines to tell passengers that a flight is delayed or canceled due to weather alone when other factors are involved.

Thank you to all of our members who have been a part of our advocacy efforts over the years. It was your collective voice that allowed our industry to achieve this tremendous milestone. The fight is never over though when it comes to advocacy as we must remain vigilant on these issues and stay on top of our next priorities. I encourage you all to attend our Legislative Summit next spring to make our voice even stronger. You can also stay up-to-date on GBTA’s advocacy efforts in Washington, D.C., Brussels and around the world by subscribing to GBTA’s bi-weekly Politics of Travel email from GBTA’s Vice President of Government Relations, Shane Downey.

I would also like to thank our long-time friends and colleagues at Cornerstone Government Affairs. Our partnership over the past eight years has been exceptional and your contributions to our success immeasurable.

In closing, it is worth again calling out the outstanding bi-partisan work in Congress and the White House to look past ideological differences and put the future of the business travel industry – and business travelers that drive our economy – first. We hope that this is a model for future success for the global business travel industry and our leaders in Washington.

I’ve been fortunate to have worked in the business travel industry throughout my entire career. I’m now in my ninth year in my role at GBTA, serving on behalf of our Association to better what I firmly believe is the most resilient, passionate and relevant industry in the world. At GBTA, we work every day to connect the people that connect the world. It is without question, the people, who make this industry so special.

For this week’s GBTA podcast episode, longtime industry veteran John Snyder joined me for a conversation about the workforce in our industry, innovation and engaging travelers. As many of you know, John is the president and CEO of BCD Travel and is responsible for the company’s strategic direction to fulfill their mission of helping people and companies travel smart and achieve more.

When I asked John what keeps him up at night, it wasn’t solving for the latest technology issues or focusing on the bottom line that he talked about. Instead, he shared his concern around bringing new talent into his organization and our industry as a whole. He sees a need for a bigger voice for the industry recruiting at colleges and universities around the world to attract new and interesting talent. The industry can be taught, but talent, attitude and attention to customers are skills to go after.

Looking beyond recruiting talent to work in the travel industry, GBTA research has shown the important role travel plays across the job market when it comes to recruiting and retaining top talent. Given today’s tight labor market and low unemployment, this becomes increasingly important for companies. So, how can a TMC help their customers in this area by making the business travel experience as good as it can possibly be?

“Part of it is just helping our customers on the front-end to understand how they can really use [travel] as a recruiting tool, and then from that end, providing the highest level of service and really helping keep the travelers engaged in a travel programs is a really huge responsibility for the TMC community,” John said. “Overall traveler satisfaction and traveler engagement need to be one of the highest priorities of any TMC, because that’s really, at the end of the day, what we’re hired to do.”

We also talked innovation – looking at BCD’s approach to innovating, as well as the future for open environments for technology in our industry, which admittedly has a long history of having many closed technology platforms that don’t always play well with others.

“I think open ecosystems are critical to the future success of our industry,” John said. “The old days of having a closed platform that no one could come in and utilize your technology or your resources is really a way of the past. Now it’s really creating that open ecosystem, so you can share technology back and forth, and be able to integrate easily and effectively for our customers.”

Stay tuned in the coming months as I’ll be interviewing more leaders across our industry for their perspectives and insights on the opportunities and challenges facing business travel. You can also listen to the podcast and subscribe via iTunes, Stitcher, Google Play and your other favorite podcast directories.

On this week’s episode of The Business of Travel, GBTA Executive Director and COO Michael W. McCormick talks with John Snyder, BCD Travel President and CEO, about the workforce in the business travel industry, innovation and engaging travelers.

You can download and listen to The Business of Travel in iTunes, Stitcher, Google Play and your other favorite podcast directories. Be sure to subscribe to the show so you don't miss out!

GBTA Calls on EU and UK Leaders to Agree on Outstanding Issues in the Withdrawal Agreement

Progress in the Brexit negotiations since the June 2018 European Council Summit has been slow by every measure. The UK and EU negotiating teams have met in Brussels since mid-August in the hope of finalizing the outstanding issues in the Withdrawal Agreement preparing the exit of the UK from the EU. Despite these efforts, they have reached the long-earmarked deadline of the October European Council Summit without evidence of clear progress on some of the key remaining issues relating to the Withdrawal Agreement, such as Northern Ireland.

Even despite positive talks over the weekend, political considerations have brought us back to square one.

In this context, ahead of the European leaders’ Summit taking place on 17-18 October, GBTA stresses once again that securing the Withdrawal Agreement and transition remains essential for the business travel industry. The lack of progress in negotiations puts into question the feasibility of guaranteeing certainty for businesses with an effective, predictable transition period as of March 2019. Letting the UK leave the EU without a deal would lead to brutal changes to the current trading, economic and social environments causing serious consequences on business travelers themselves, as citizens and as business representatives.

Although GBTA welcomes the EU and the UK’s increased activities on preparing stakeholders for every outcome including a “no deal”, with publications of many technical notices (UK and EU), the priority remains to not reach that point. We appreciate the fact that aviation is one of the few areas in which the European Commission and the UK Government has been forthcoming with their contingency planning. The UK has in fact committed to unilaterally grant permits to allow EU airlines to continue providing their services in the UK. We can only hope that the EU-27 will agree to reciprocate these permits for UK airlines even in the case of a no deal.

While Brexit contingency planning for the aviation sector is relatively advanced, if not properly managed, risks still exist that would undermine many key principles critical to the business travel industry. GBTA has been continuously defending the need for proper connectivity, robust competition and high standards for safety and security measures for travelers as well.

That is why GBTA calls on the EU and the UK to harness the general momentum to conclude the Withdrawal Agreement, including the vital transition period, by mid-November at the latest. This will ensure the EU-27, the European Parliament and the UK Parliament have sufficient time to adopt the provisions of the agreement. GBTA also looks forward to EU and UK negotiators initiating discussions on the framework for the future trading relationship between the EU and the UK, especially when it comes to future aviation arrangements.

Finally, GBTA looks forward to meeting with key EU decision makers again this week to discuss Brexit and its impact on the business travel sector at this critical juncture.

It’s no secret that when you’re away from home, fast food like McDonald’s and Dunkin often looks significantly more appealing than taking the time to find healthier options. Staying consistent with a meal plan and being active are steps to a healthy lifestyle that you shouldn’t have to compromise on while on business travel.

Now, there’s no harm in treating yourself every once in a while, to your favorite sugary Frappuccino or donuts, but its best done in moderation. Many restaurants – including fast food spots – make a point now of indicating healthier choices on their menu making your decisions easier even when you are in a rush as well. In a recent Twitter chat, we asked our followers to share their top tips for staying committed to diet and exercise on the road. Here are the top five:

1 - Pick a local restaurant and walk there instead of taking a cab.

2 - Look into trying ClassPass or similar subscription-based fitness memberships you can use in many different cities.

3 - Take an early morning walk around the city you're visiting.

4 - When selecting a hotel, determine whether they have a gym ahead of time.

5 - Finding healthy options at most restaurants is doable. Be mindful of where you go and what you order.

According to recent GBTA research, conducted in partnership with Dinova, 77 percent of business travelers consider healthy eating while traveling to be important.

Want to learn more about what your travelers think about eating out while on the road for work? Get more info about the study findings here.

For this week’s episode, The Business of Travel previews GBTA webinar content airing a recent session called Solving Real Enterprise Problems Through AI. Ryan Floersch from AppZen digs deeper into how and why these cultural shifts are forming. He will look at how AI is empowering managers to take control of team spend at a field level, giving them the ability to correct bad behavior and improve their teams’ expense habits over time while avoiding unwanted ‘big brother’ conversations between managers and employees that only damage relationships and morale.

GBTA offers frequent webinars on a whole spectrum of topics covering the business travel industry. These timely and relevant presentations on issues impacting our industry are also interactive, allowing you to submit questions throughout and receive immediate feedback from the presenters.

Check out our calendar of upcoming webinars to see what’s coming soon. For GBTA members, if you miss out and can’t attend a session you are interested in, you can also access all of our archived webinars on the GBTA Hub.

You can download and listen to The Business of Travel in iTunes, Stitcher, Google Play and your other favorite podcast directories. Be sure to subscribe to the show so you don't miss out!

In recent GBTA research, conducted in partnership with Dinova, digging into business travel dining trends, we delved into the psyche of the business diner. The typical business travel dining experience really depends on the trip. The study found that in total, 64 percent of business travelers take their money to upscale casual restaurants, followed by fast casual (52 percent), fast food (34 percent) and finally, fine dining (29 percent).

Many business travelers tend to spend their meals in the company of others. For lunch, 30 percent report eating with clients, with an additional 23 percent eating with coworkers, and the numbers jump to 40 percent and 26 percent, respectively, for dinner.

During a recent Twitter chat, many of our participants shared their desire to eat like a local while traveling and gave us their best tips for doing so. Here were the top five:

1 - Ask cab or car drivers about spots where they would take their families to eat – not where they tell other travelers to go.

2 - Search “best places to eat in ____” as a start. Use websites like Thrillist to find the best spots to eat.

3 - Ask people in the hotel about the places they actually eat at.

4 - If meeting with a client, ask them about the best local place.

5 - Ask friends in the area.

Learn more about the study findings here, and be sure to check out this recent guest blog post from Dinova on incorporating a dining program into your managed travel program.